Immigrant Integration and Workplace Discrimination in New Zealand International Workshop, University of Waikato, 11-13 April 2012 Immigrant Integration and Workplace Discrimination in New Zealand Bridget Daldy, Jacques Poot & Matthew Roskruge We gratefully acknowledge the sponsorship of the 2007-2012 Integration of Immigrants Programme (IIP) and the research assistance of Marietjie Van Dyk. 27 November 2018

Disclaimer Access to the data used in this study was provided by Statistics New Zealand under conditions designed to keep individual information secure in accordance with requirements of the Statistics Act 1975. The opinions presented in this paper are those of the authors and do not necessarily represent an official view of Statistics New Zealand. Currently still work in progress, results should be considered indicative only. © THE UNIVERSITY OF WAIKATO • TE WHARE WANANGA O WAIKATO 27 November 2018

Introduction Research questions: Is the likelihood of experiencing workplace discrimination once employed higher amongst migrants than New Zealand born workers? If so, does this differ by birth region and gender, and are there other observable factors which influence discrimination of immigrants in the workplace? Note: We measure discrimination experienced in the workplace, not in finding a job. © THE UNIVERSITY OF WAIKATO • TE WHARE WANANGA O WAIKATO 27 November 2018

Motivation Since 2000, the NZ labour market experienced a large “immigration shock”. Overseas born account for over 60% of growth and 25% of the stock of the NZ working age population. Policy makers are interested in assisting immigrant integration, particularly into the high-skilled workforce. Strong evidence that immigrants are facing barriers to integration into the New Zealand workforce. International evidence suggests that up to 40% of all migrants experience some form of discrimination in the workplace (Girling et al., 2010). © THE UNIVERSITY OF WAIKATO • TE WHARE WANANGA O WAIKATO 27 November 2018

Further Motivation Concern that discrimination against migrant employees within the New Zealand workforce may be one of the barriers to integration. Some of this discrimination maybe based on the immigrants surname or accent (Spoonley & Trlin (2010)) Recent media attention has focussed on how some immigrants have found it better to change their name to get into the job market. Unemployment rates and the incidence of low income differ between native born and immigrants; does discrimination play a role? © THE UNIVERSITY OF WAIKATO • TE WHARE WANANGA O WAIKATO 27 November 2018

Source: Stats NZ and DoL Comparing unemployment and incidence of low income between immigrants and native born aged 25-54 in 2006. Birthplace Unemployment rate Proportion with incomes below 30th percentile New Zealand 4.75% 17.3% Australia 5.28% 18.0% UK & Ire 2.98% 15.8% Europe & Nth America 4.71% 21.6% Asia 8.86% 35.1% Pacific Islands 7.75% 25.4% MELAA 6.52% 20.6% Source: Stats NZ and DoL © THE UNIVERSITY OF WAIKATO • TE WHARE WANANGA O WAIKATO 27 November 2018

Previous research New Zealand studies found that NZers in general have a positive attitude toward immigrants & endorse multiculturalism (Ward & Masgoret, 2008; Ward et al., 2011). Girling et al. (2010) suggest however that discrimination at work is still regularly experienced by migrants who are culturally different from Europeans and Maori. Previous research focussed primarily on discrimination prior to hiring rather than post-hiring. Lack of unit-record analysis. Literature on post-hiring suggests that age, qualifications, years of residency and English language are important indicators. In most cases however some birthplace effect remains after controlling for observables. © THE UNIVERSITY OF WAIKATO • TE WHARE WANANGA O WAIKATO 27 November 2018

Data Confidentialised Unit Record File (CURF) of New Zealand General Social Survey (NZGSS) 2008, SNZ. Interviewed 8721 individuals Two components: household and personal 14 topics covered, including work and skills Number active in labour market = 4192 Overseas born = 952 (22.7%) Identified workplace discrimination from responses to: Have you felt discriminated against in last 12 months? Did this discrimination occur in the workplace? © THE UNIVERSITY OF WAIKATO • TE WHARE WANANGA O WAIKATO 27 November 2018

Analytical framework Dependent variable: Have you experienced discrimination in the workplace in the previous 12 months? yes/no. Explanatory variables from four groupings of factors which may influence discrimination formed the base for the framework: Personal characteristics applicable to all employed individuals (Pi) Personal characteristics applicable to foreign born only (Pfor) Human capital (KHi) Geographic and location specific variables (Gr) Disci = (Pi, Pfor, KHi, Gr,) Regression methods are then used to predict the impact of these factors on workplace discrimination. © THE UNIVERSITY OF WAIKATO • TE WHARE WANANGA O WAIKATO 27 November 2018

Key Characteristics Full sample Foreign born only Pooled All Female Sample size 4192 952 485 467 Wkplace disc 6.1% 9.6% 10.3% 9.2% Mean Yrs since migration (YSM) na 17.0 17.4 16.6 Mean age (yrs) 40.8 41.6 41.4 41.9 Part time 19.3% 16.8% 23.6% 10.9% Mean Yrs of schooling 12.7 13.4 13.5 13.3 Live in Auckland 21.6% 37.8% 36.7% 40.9% © THE UNIVERSITY OF WAIKATO • TE WHARE WANANGA O WAIKATO 27 November 2018

Migrant Characteristics Region born 2006 census NZGSS sample mean YSM New Zealand 77.1% 77.3% Australia 1.8% 2.0% 17.8 Pacific Islands 3.5% 3.0% 20.6 Europe, Nth America 8.6% 9.5% 21.6 Middle East, Latin America, Africa, (MELAA) 2.2% 2.6% 10.6 SE Asia 3.6% 2.3% 12.1 NE Asia 2.1% 1.9% 10.4 Other Asia 1.1% 1.4% 8.7 © THE UNIVERSITY OF WAIKATO • TE WHARE WANANGA O WAIKATO 27 November 2018

Reported discrimination by key characteristics (%) (Pooled = 6.1%) Region of birth % reported Euro or Nth America 7.0 MELAA 12.0 Pacific Islands 9.6 SE Asia 14.6 NE Asia 11.6 Other Asia 12.1 Australia 9.8 NZ (European) 4.4 NZ (Maori) 10.0 NZ (Pacific Is) 11.7 Categorical variables: % if yes % if no female 6.6 5.8 Partner 5.6 7.1 Part time 4.7 Trade Qual 6.5 6.2 Children 7.0 5.7 Multi jobs 6.0 5.4 Live in: Auckland Canterbury 6.9 6.1 Wellington 5.3 6.4 Rest of NZ © THE UNIVERSITY OF WAIKATO • TE WHARE WANANGA O WAIKATO 27 November 2018

Reported discrimination by years since migration, age and schooling. © THE UNIVERSITY OF WAIKATO • TE WHARE WANANGA O WAIKATO 27 November 2018

Workplace discrimination by occupation. © THE UNIVERSITY OF WAIKATO • TE WHARE WANANGA O WAIKATO 27 November 2018

Regression analysis. Logit regressions to determine proportion affected by workplace discrimination. Three regression models will be reported: Model 1: Basic model, controlling only for birth place and years since arrival. Model 2: Model 1 + age, age sq, part-time, trade, yrs of schooling, multi jobs, occupation and region. Model 3: Model 2 by gender. © THE UNIVERSITY OF WAIKATO • TE WHARE WANANGA O WAIKATO 27 November 2018

Results VARIABLES Model 1 (Logit) Model 2 Born Australia 1.109** 1.007* Born Pacific IS 1.175*** 1.184*** Born Euro- US 0.863*** 0.746** Born MELAA 1.382*** 1.293*** Born SE Asia 1.542*** 1.691*** Born NE Asia 1.260*** 1.431*** Born Asia other 1.275*** 1.430*** Born NZ x Pacific 0.898*** 1.080*** Born NZ x Maori 0.869*** 0.783*** YSM -0.017* -0.020* Obs 4192 © THE UNIVERSITY OF WAIKATO • TE WHARE WANANGA O WAIKATO 27 November 2018

Results by Gender VARIABLES Model 3 Males (Logit) Females Born Australia 0.965 1.160 Born Pacific IS 1.865** 1.217 Born Euro-NA 0.846 0.641 Born MELAA 1.507** 0.399 Born SE Asia 2.000*** 2.423*** Born NE Asia 2.226*** 1.961*** Born Asia other 2.722*** 0.465 Born NZ x Pacific -0.186 1.524*** Born NZ x Maori 1.123*** 0.524* YSM x born in Asia -0.104* -0.091** Obs 1934 2170 © THE UNIVERSITY OF WAIKATO • TE WHARE WANANGA O WAIKATO 27 November 2018

Discussion Do immigrants experience workplace discrimination in NZ once they are employed? Yes, compared to Native born European workers, migrants reported higher levels of discrimination in the workplace. Does it vary by country of origin? Yes. Greatest likelihood in Asia, particularly SE Asia. Migrants from the MELAA and the Pacific Islands were the next highest respectively. Lowest likelihood is those born in western countries, perhaps due to similar language and skills. Integration provides the greatest benefit to Asian migrants. © THE UNIVERSITY OF WAIKATO • TE WHARE WANANGA O WAIKATO 27 November 2018

Further Discussion Is there a difference between males and females? Females from East Asia, NZ born Pasifika, those with more schooling and years since migration for Asians, have a greater likelihood of reporting discrimination compared to males for same variables. The most significant variables affecting males were: born in Asia, Pacific Islands or MELAA. NZ born males identifying as Maori also reported significantly greater levels of discrimination compared to their female counterparts. Are there other observable factors which influence the incidence of workplace discrimination? Including other factors did not completely account for the birthplace effects. Increased education related to higher rates of reporting. Much lower incidence with jobs in Wellington compared to other regions. Highest reported rates mid-career. © THE UNIVERSITY OF WAIKATO • TE WHARE WANANGA O WAIKATO 27 November 2018

Conclusions Migrants experience more discrimination than native born workers in the workplace. This is particularly true for those who are culturally different from NZ born Europeans. Workplace discrimination diminishes with increased length of stay in New Zealand. Migrants with greater years of schooling are more likely to report discrimination. Controlling for observed characteristics provides little reduction in birthplace effects. Suggests that stereotypes, language and culture are strong influencing factors. © THE UNIVERSITY OF WAIKATO • TE WHARE WANANGA O WAIKATO 27 November 2018

Interesting further research questions The role of employer characteristics. Business and workplace characteristics Who within the workplace discriminated against the employee? What form did the discrimination that was experienced in the workplace take? The frequency/intensity of the discrimination. Does discrimination increase return migration? How stable is discrimination over time? Are there business cycle effects (e.g. merge 2008 with 2010 GSS data that have recently become available) © THE UNIVERSITY OF WAIKATO • TE WHARE WANANGA O WAIKATO 27 November 2018

Bridget Daldy Web links Department of Economics Email bdaldy@waikato.ac.nz Web links NZGSS: http://www.stats.govt.nz/nzgss/ IIP: http://newsettlers.massey.ac.nz NIDEA: http://www.waikato.ac.nz/nidea © THE UNIVERSITY OF WAIKATO • TE WHARE WANANGA O WAIKATO